Brooge Energy Reports 2022 Revenue of USD $81.5 Million, an Increase of 95% Year-Over-Year, and Provides Outlook for 2023

Management is providing revenue guidance for 2023 of over USD $125 million

Management will host a conference call on Thursday, May 4^th at 10 a.m. ET

NEW YORK, April 26, 2023 (GLOBE NEWSWIRE) -- Brooge Energy Ltd, ("Brooge Energy" or the "Company") (NASDAQ:BROG), a Cayman Islands-based infrastructure provider, which is currently engaged in clean petroleum products and biofuels and crude oil storage and related services, announced today its financial results for the year ending December 31, 2022. Management will host a conference call on Thursday, May 4^th at 10 a.m. ET and requests that all questions be submitted to [email protected] by Sunday, April 30^th at 8 p.m. ET.

"We are pleased to report revenue growth of 95% year-over-year for 2022 and a net profit of USD $27.3 million," said Lina Salah Saheb, Interim Chief Executive Officer of Brooge Energy. "We are providing revenue guidance for 2023 of over USD $125 million based on near 100% Phase I and II storage capacity. Going forward we will continue to make progress on our Green Hydrogen and Green Ammonia Project and on the Phase III expansion as well as explore additional partnerships."

Ms. Saheb was appointed as the Interim Chief Executive Officer of Brooge Energy and its subsidiaries in December 2022 and is diligently working to continue the vision of the Company. Since her appointment, Ms. Saheb has put in extraordinary efforts in leading the team to conclude the issuance of six financial statements within the stipulated extension provided by Nasdaq. These financial statements included: three audited restated financial statements for the years ended 2018 to 2020, two audited financial statements for the years ended 2021 and 2022, and the interim financial statements for the period ended June 30, 2022. This was following the recommendation of the Audit Committee of the Board of Directors.

Financial Results for the Year Ending December 31, 2022

In 2022, Brooge Energy provided storage capacity of 1,001,388 cbm and related services to numerous oil traders and producers generating revenue of USD $81.5 million in 2022, a 95% year-over-year increase, as compared to USD $41.8 million in 2021. This significant increase is mainly attributable to the commencement of Phase II storage and services in September 2021, which were available during the year in 2022, as well as signing new contracts at higher storage rates.

Gross profit for 2022 totaled USD $56.8 million, an increase of 112%, as compared to USD $26.8 million in 2021. Gross profit margin improved by 70% in 2022 as compared to 64% in 2021.

For the year ending December 31, 2022 the Company reported a net profit of USD $27.2 million or $0.31 per basic and diluted share, an increase of 6%, as compared to USD $25.7 million or $0.29 per basic and diluted share in 2021, predominately due to an increase in non-cash change in estimated fair value of derivative warrant liability, increase in general and administrative expenses, and increase in finance costs related to Phase 2 construction.

Operations Update and Highlights:

The success of Phase I and II, led the Company to consider expanding its storage facilities where it has conducted a feasibility study and commenced early preparation works on Fujairah Phase III. Upon successful expansion of the Phase III facility, this would position the Company as one of the largest independent oil storage facility in Fujairah, with capacity to store clean petroleum products, middle distillates, high and low sulphur fuel oil as well as crude oil.

The Company is also in the advanced stages of planning a Green Hydrogen and Green Ammonia Project, which aims to produce up to 700,000 MT of green ammonia per annum once fully completed. The Green Hydrogen and Green Ammonia Project is one of the first privately owned company green ammonia projects in the United Arab Emirates and the region, led by Brooge Energy Limited's 100% owned subsidiary Brooge Renewable Energy, which aims to produce renewable, carbon-free fuel using solar power. The Company recently announced that the technical study of its plant conducted by Thyssenkrupp Uhde has been completed and delivered.

Earlier in 2023, the Company announced a partnership through the Company's subsidiary Brooge Renewable Energy ("BRE") with Siemens Energy ("SE"), one of the world's largest energy technology companies, to build a photovoltaic ("PV") solar farm to supply BRE's Green Hydrogen and Green Ammonia project in Abu Dhabi, United Arab Emirates. BRE and SE partnership is aimed to build up to 650 MW solar PV plant to supply BRE's planned Phase 1 of the green ammonia project with renewable energy. Siemens Energy will serve as the Technical Partner to Brooge and exclusive provider of solutions including engineering, design procurement, and construction of up to a 650 MW solar PV plant including grid connection and operation and maintenance services.  The two companies will partner to obtain the necessary project approvals from governmental agencies as a first step of the project targeting construction commencement in the second half of 2024.

On March 28, 2023, Brooge Energy was awarded "Best Specialist Liquid Bulk Terminal of the Year 2023" and "Safe and Secure Terminal of the Year" at The Global Ports Forum Awards, a highly respected ceremony within the global ports and terminal industry, in Dubai, UAE.

Outlook for 2023

At year end 2022, the Company had five oil storage customers providing diversification of revenue with longer term contracts and renewal options. Based on this information and near 100% Take or Pay contracted storage capacity of Phase I and II during 2023, management is providing revenue guidance for over USD $125 million for 2023, an increase of at least 53% year-over-year.

Conference Call Details

Date: Thursday, May 4, 2023

Time: 10:00 a.m. Eastern Time

Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1610239&tp_key=6e19069490

Dial-In Number: 1-888-886-7786 or 1-416-764-8658

UAE Toll Free: 800035703632

Conference ID: 60400024

Deadline to Submit Questions: Sunday, April 30, 2023 at 8 p.m. ET

Email to Submit Questions: [email protected]

Replay: 1-844-512-2921 or 1-412-317-6671 (Access ID: 60400024)

About Brooge Energy Limited

Brooge Energy Ltd, is a Cayman Islands-based infrastructure provider now intending to focus on renewable energy infrastructures and biofuels, next to clean petroleum products, crude oil storage and related services. The company conducts its business and operations through its subsidiaries Brooge Renewable Energy, Brooge Petroleum and Gas Investment Company FZE (BPGIC), and Brooge Petroleum and Gas Investment Company Phase 3 FZE . BPGIC, the Company's primary operating subsidiary that focuses on midstream oil storage and other services, is strategically located outside the Strait of Hormuz at the Port of Fujairah in the Emirate of Fujairah in the UAE. The Company differentiates itself from competitors by providing customers with fast order processing times, excellent customer service and high accuracy blending services with low product losses. For more information, please visit at www.broogeenergy.com.

Forward-Looking Statements

This press release contains statements that are not historical facts, including the Company's anticipated shift towards green energy and targeted production at BRE's planned Green Hydrogen and Green Ammonia plant and constitute "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such statements reflect management's current views based on certain assumptions, and they involve risks and uncertainties. Actual results, events or performance may differ materially from the forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including availability of labor and other resources needed to for completion of the new plant, timing of obtaining regulatory approvals needed with respect to the new facility, the Company's ability to complete construction and initiate operations of the new facility on the anticipated timeline or at all, the Company's ability to maintain the lease for the new facility, and other risks described in public reports filed by Brooge Energy with the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Brooge Energy does not undertake any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Investor Contact

KCSA Strategic Communications

Valter Pinto, Managing Director

+1 212-896-1254

[email protected]

Brooge Energy Limited
Consolidated Statement of Comprehensive Income
Year Ended December 31, 2022
(Figures in USD)	2022			2021
Revenue	81,540,776			41,761,615
Direct costs	(24,691,442	)		(14,984,022	)
Gross profit	56,849,334			26,777,593
Other income	180,345			6,237,620
Change in estimated fair value of derivative warrant liability	7,430,035			1,486,023
General and administration expenses	(15,652,819	)		(7,422,870	)
Finance costs	(25,417,989	)		(6,810,718	)
Changes in fair value of derivative financial instruments	3,840,379			5,422,917
Profit for the year	27,229,285			25,690,565
Other comprehensive income	Nil			Nil
Total Comprehensive Income for the year	27,229,285			25,690,565
Basic and diluted earnings per share	0.31			0.29

Brooge Energy Limited
Consolidated Statement of Financial Position
As at December 31, 2022
(Figures in USD)	2022			2021
ASSETS
Current Assets
Cash and cash equivalents	8,259,981			7,380,991
Trade accounts receivables	5,275,047			3,771,492
Inventories	315,576			250,360
Other receivables and prepayments	724,093			1,131,868
Total Current Assets	14,574,697			12,534,711
Non-Current Assets
Restricted bank balance	8,500,000			8,500,000
Property, plant and equipment	426,040,639			427,266,913
Derivative financial instrument	9,306,741			5,422,917
Advances to contractor	15,223,215			3,499,988
Total Non-Current Assets	459,070,595			444,689,818
Total Assets	473,645,292			457,224,529
LIABILITIES AND EQUITY
Current Liabilities
Trade and accounts payable	23,464,803			18,189,493
Other payable	74,253,965			74,253,965
Derivative warrant liability	4,245,780			11,675,815
Borrowings	171,739,579			182,781,617
Lease liabilities	6,316,342			8,976,452
Total Current Liabilities	280,020,469			295,877,342
Non-Current Liabilities
Borrowings	1,782,603			Nil
Lease liabilities	84,557,069			80,804,728
Employees' end of service benefits	134,200			60,624
Asset retirement obligation	2,056,259			1,990,399
Total Non-Current Liabilities	88,530,131			82,855,751
Equity
Share capital	8,804			8,804
Share premium	101,777,058			101,777,058
Statutory reserve	680,643			680,643
Accumulated losses	(67,763,600	)		(94,992,885	)
Shareholder's account	70,391,787			71,017,816
Total Equity Attributable to the Shareholders	105,094,692			78,491,436
Total Liabilities and Equity	473,645,292			457,224,529